AFP, Riyadh :
Saudi Arabia on Tuesday announced the launch of an independent economic zone on the Red Sea, three times the size of Cyprus and with a half a trillion dollars in projected investments.
The zone, dubbed NEOM, covers an uninterrupted coastline of nearly 470 kilometres (290 miles) in northwestern Saudi Arabia and will extend into territories in neighbouring Jordan and Egypt, a statement released by the kingdom’s Public Investment Fund said.
Authorities in Jordan and Egypt did not immediately comment on the statement.
The announcement came hours after the opening of the Future Investment Initiative, a three-day economic conference that brings together some 2,500 dignitaries, including 2,000 foreign investors.
NEOM, which counted more than 10,000 followers on Twitter hours after the announcement, will be independent of Saudi regulation and will adopt a “separate regulatory framework,” the statement said.
The Saudi government has pledged investments into NEOM worth $500 billion.
The project will also be open to local and international investors.
Klaus Kleinfeld, the former chairman of Alcoa and Arconic and a member of the Council on Foreign Relations, was appointed NEOM’s first CEO. Kleinfeld has also served as advisor to the Chinese and Russian prime ministers.
